Question 8 (1 point) Saved IBM currently has 30 foreign orders outstanding, with the typical order averaging $2,500. Which of the following three alternatives is best to protect against credit risk on these foreign sales: Request a letter of credit from each customer. The cost to the customer would be $75 plus 0.25% of the invoice amount. To remain competitive, IBM would have to absorb the cost of the letter of credit. Factor the receivables. The factor would charge a nonrecourse fee of 1.6%. Buy FCIA insurance. The FCIA would charge a 1% insurance premium. FCIA Insurance Factor the receivables Request the Letter of Credit